No. It means that when you are reporting an event the verb will regress: John says he is moving to Chicago in 2012. John said he was moving to Chicago in 2012.
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ScullyDoes verb tense shifting mean that when you're writing in the present tense, you can't use "had" or "was"?No. It typically refers to changing present point of view to past point of view, though theoretically changes from past to present would also be shifts.
Scullyif you're writing a paper or letter, and you consistently shift between present and past tense, then that's verb tense shifting, which is wrong?It's only wrong if you do it when there is no reason to do it.